Treasurer Scott Morrison (left) and Liberal candidate for Bennelong John Alexander at a press conference after visiting an Ultra Tune outlet in North Ryde in Sydney, Monday, December 11, 2017.AAP Image - Mick Tsikas

ScoMo to outline $23 billion debt reduction

TREASURER Scott Morrison will announce a significant pay-off of debt, understood to be $23 billion, in tomorrow's budget update.

A day after winning the crucial Bennelong by-election, thus securing his governing majority in the House of Representatives, The Daily Telegraph can exclusively reveal the good news will continue for Prime Minister Malcolm Turnbull when the government hands down the Mid-Year Economic and Fiscal Outlook tomorrow.

Treasurer Scott Morrison is set to announce a major pay-off debt as part of his budget update. Picture: David Swift

A figure of $23 billion reduction in debt is understood to be centrepiece of Mr Morrison's announcement in Canberra.

The figures indicate the Turnbull Government is on track to deliver a surplus in 2020-21.

Mr Turnbull said it was the strongest run of monthly jobs increases since 1994 and said his government was creating more than 1000 jobs a day.

The positive economic figures will see the Turnbull Government finish 2017 on a winning streak, with a better-than-expected result in Bennelong, securing the passage of same-sex marriage, ending Sam Dastyari's parliamentary career and seeing two Labor politicians referred to the High Court.

The two-party preferred count for Bennelong is currently 54.78 per cent for the Liberal Party and 45.2 per cent for former NSW Premier Kristina Keneally.